By Neil Witten
According to Fortune, data scientist roles have a projected growth rate of 36% from 2021 to 2031.
With the growing demand for data science, there has never been a better time to secure a first or next role as a data science manager. At AI/ML Jobs, we bring you the latest insight on data science manager positions, including compensation, employment opportunities, and ways to excel in the field.
In this guide, we’ll look specifically at how much data science managers receive on average before discussing related topics including the factors that shape their salary and how salaries differ depending on contexts like employer and location.
Let’s dive in!
Data science managers make anywhere between $100,000 to $483,000 with the median figure coming to $229,950.
Although data science managers typically earn less than ML/AI software engineers and software engineering managers, their salaries can still reach $200,000 or more. This makes them some of the highest-paid professionals in the industry.
Despite their lower average compensation, they play a crucial role in the data science field, and their expertise is highly valued across all industries.
Factors that Influence Data Science Manager Salary
A wide range of factors can shape how much a data science manager will receive. Let’s explore some of the key factors.
More experience usually means higher pay. If companies know you have more relevant experience, they may be willing to pay more than otherwise.
According to Glassdoor, data science managers with 1–3 years of experience make about $118,000 to $193,000 on average, while those with 7-15+ years of experience tend to earn somewhere in the region of $141,000 to $287,000.
Related to years of relevant experience, your seniority can also shape how much an organization will offer you when hiring for a data science manager. Data science managers often require five years of experience to land their first job in this position and more to move up the ranks.
Data scientists tend to make more in the U.S. than elsewhere. Also, living in a major city typically results in higher salaries.
As a case in point, let’s look at the difference in pay between major cities and smaller ones. For this role, the median salary is $294,000 in San Francisco, compared to $117,772 in Indianapolis (less than half).
The same difference can be seen at a state level as well. Here are some data science salaries from around the US:
A higher education level can also increase your chances of securing a relatively high starting salary as a data science manager. According to the U.S. Bureau of Labor Statistics, each level of education brings higher earning potential.
While some applying for the role of a data science manager may have an undergraduate degree, securing a relevant Master’s degree can improve your chances of success.
The stronger your negotiation skills, the better chances you have of securing a favorable deal. This includes one with a higher salary than most.
According to Procurement Tactics, 85% of Americans aged 25 to 35 who countered on salary, got at least a certain percentage of what they requested. This is, of course, a valuable point that applies across all generations.
However, just 29% of job seekers reported negotiating salary at their current job.
Exploring discussions on Quora and Reddit, here were some of the key themes we noticed:
As for requesting a raise specifically, here is some advice from data science managers:
Here is how much data science managers receive based on experience:
| Seniority | Years of Experience | Salary Range |
| Entry Level | 0–1 | $113,000–$186,000 |
| Intermediate | 1–3 | $118,000–$193,000 |
| Mid-Level | 4–6 | $127,000–$203,000 |
| Higher Level | 7–9 | $142,000–$224,000 |
| Senior or Executive-Level | 10-14 | $159,000–$252,000 |
| Senior or Executive-Level | 15+ | $159,000–$288,000 |
As you can see, salary ranges inevitably increase with experience. However, the rate at which these ranges increase is not completely steady.
From 0–1 years of experience to 1–3 years of experience we notice a 4.3% rise in salary and then from 1–3 years to 4–6 years of experience, a 5.9% increase.
However, the rate at salaries rises significantly from 4-6 to 7-9 years with an 11% rise. This is followed by a 12.4% increase from 7-9 to 10-14 years and finally, a 13.8% rise from 10-14 to 15+ years.
Data science managers fall somewhere in the middle of related roles when it comes to salary:
| Position | Average Total Pay | % Above or Below |
| Data Science Manager | $229,950 | – |
| Data Scientist | $159,800 | -30.5% |
| Software Engineering Manager | $290,000 | +26.1% |
| ML/AI Software Engineer | $245,000 | +6.5% |
Although software engineering managers tend to earn considerably more than data science managers, the same is not necessarily true for the average data scientist. This is likely due to the higher level of seniority held by data science managers.
As such, while there may be some disparity between these roles in terms of compensation, both offer unique opportunities for growth and development.
Here is how much data science managers make (on average) at different companies:
| Company | Average Total Pay |
| Meta | $313,621 |
| $397,000 | |
| Microsoft | $360,000 |
| Nvidia | $225,593 |
| IBM | $206,824 |
| Accenture | $162,055 |
| Amazon | $146,646 |
Unsurprisingly, FAANG companies offer above-average compensation packages for data science managers while comparatively smaller companies (e.g., Accenture and Nvidia) offer smaller (but still competitive) salaries.
| Industry | Base Pay | Additional Pay | Average Total Pay |
| Legal | $92,808 | $22,758 | $115,566 |
| Aerospace & Defense | $121,612 | $45,497 | $167,109 |
| Agriculture | $121,427 | $46,547 | $167,973 |
| Arts, Entertainment & Recreation | $121,612 | $45,497 | $167,109 |
| Pharmaceutical & Biotechnology | $121,612 | $45,497 | $167,109 |
| Management & Consulting | $121,612 | $45,497 | $167,109 |
| Construction, Repair & Maintenance Services | $121,612 | $45,497 | $167,109 |
| Personal Consumer Services | $116,607 | $44,071 | $160,678 |
| Education | $112,681 | $34,332 | $147,013 |
| Financial Services | $126,107 | $48,705 | $174,813 |
| Government & Public Administration | $121,612 | $45,497 | $167,109 |
| Healthcare | $113,660 | $42,825 | $156,485 |
| Information Technology | $123,533 | $49,779 | $173,313 |
| Insurance | $122,059 | $42,199 | $164,258 |
| Manufacturing | $114,655 | $36,576 | $151,231 |
| Media & Communication | $121,612 | $45,497 | $167,109 |
| Nonprofit & NGO | $121,612 | $45,497 | $167,109 |
| Energy, Mining & Utilities | $121,612 | $45,497 | $167,109 |
| Real Estate | $118,097 | $47,559 | $165,655 |
| Restaurants & Food Service | $121,612 | $45,497 | $167,109 |
| Retail & Wholesale | $121,612 | $45,497 | $167,109 |
| Telecommunications | $111,385 | $34,996 | $146,380 |
| Transportation & Logistics | $121,612 | $45,497 | $167,109 |
| Hotel & Travel Accommodation | $121,612 | $45,497 | $167,109 |
| Human Resources & Staffing | $121,612 | $45,497 | $167,109 |
Although it may come as a surprise, data science managers receive the highest compensation on average in financial services, earning more than $173,000 per year. Subsequently, IT salaries follow closely behind.
It’s evident that data science managers receive impressive salaries across a range of sectors, but there are some exceptions. For instance, data science managers in the legal sector earn an average of $115,000 annually.
In this guide, we’ve looked at how much the average data science manager receives. We’ve also looked at data science manager salaries in various contexts (e.g., companies and level of experience/seniority) and delved into related topics like salary factors.
If you’re all set to secure your first or next data science role, AI/ML Jobs is the perfect place to start.
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